Branding through responsibility: the advertising impact of CSR activities in the Korean instant noodles market

Fuente: arXiv
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Main Authors: Hong, Youngjin, Kim, In Kyung, Kim, Kyoo il
Format: Preprint
Published: 2025
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author Hong, Youngjin
Kim, In Kyung
Kim, Kyoo il
author_facet Hong, Youngjin
Kim, In Kyung
Kim, Kyoo il
contents This paper empirically examines the extent to which a favorable view of a firm, shaped by its social contributions, influences consumer choices and firm sales. Using a favorability rating that reflects media exposure of each firm's corporate social responsibility (CSR) activities in the Korean instant noodles market during the 2010s, we find evidence that improvements in the corporate image of Ottogi - one of the country's largest instant noodle producers - positively affected consumer utility for the firm's products. Notably, Ottogi's annual sales of its major brands increased by an average of 23.7 million packages, or 6.7%, as a result of CSR activities and the associated rise in consumer favorability. This effect is comparable in magnitude to that of a nearly 60% increase in advertising spending. Our findings suggest that CSR can foster firm growth by boosting product sales.
format Preprint
id arxiv_https___arxiv_org_abs_2507_05782
institution arXiv
publishDate 2025
record_format arxiv
spellingShingle Branding through responsibility: the advertising impact of CSR activities in the Korean instant noodles market
Hong, Youngjin
Kim, In Kyung
Kim, Kyoo il
General Economics
Economics
This paper empirically examines the extent to which a favorable view of a firm, shaped by its social contributions, influences consumer choices and firm sales. Using a favorability rating that reflects media exposure of each firm's corporate social responsibility (CSR) activities in the Korean instant noodles market during the 2010s, we find evidence that improvements in the corporate image of Ottogi - one of the country's largest instant noodle producers - positively affected consumer utility for the firm's products. Notably, Ottogi's annual sales of its major brands increased by an average of 23.7 million packages, or 6.7%, as a result of CSR activities and the associated rise in consumer favorability. This effect is comparable in magnitude to that of a nearly 60% increase in advertising spending. Our findings suggest that CSR can foster firm growth by boosting product sales.
title Branding through responsibility: the advertising impact of CSR activities in the Korean instant noodles market
topic General Economics
Economics
url https://arxiv.org/abs/2507.05782